4250 Beyer Blvd

San Diego, CA 92173

$7,100,000B-

1089 bd · 1089.0 ba · 6,998 sqft · Built 1987 · MultiFamily · Active · 317 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $82,616/mo
• Mortgage (P&I): −$37,233
• Tax + insurance: −$4,205
• HOA: −$0
• Vac / Maint / Mgmt: −$17,349
• Net cashflow: $23,828/mo
• Annual: $285,938/yr
• Cap rate: 10.32%
• Cash-on-cash: 14.38%
• DSCR: 1.64
• 1% rule: 1.16%
• Cash to close: $1,988,000

Investor read

• This is a 33 × 33-bed/33.0-bath units multifamily listed at $7.10M.
• At list price, monthly cash flow is $24k ($286k/yr) — positive. Per door: $722/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($83k rent vs $7.10M).
• It's been on market 317 days — a 12% lower offer ($6.25M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $6.25M (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $49k of loan paydown is wiped out by about $213k of value loss. Plan a longer hold.
• Location reads 75/100 on livability (#123 in CA, #4,206 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, employment A+; Watch: health & safety C-, crime D+, cost of living F.
• Sweetwater Union High (suburban): math 36% / reading 52% proficiency, ranked #187 of 517 in CA (top 36%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Smythe Elementary (578 students, 67% FRL); Ocean View Hills (963 students, 32% FRL); San Ysidro High (math 37% / reading 54%, grade D-, #417 of 1,170 statewide, top 36%, 2,316 students, 78% FRL).
• Market conditions: 27 active listings in the ZIP; 11,759 units permitted in San Diego County in 2024 (7,244 in 5+ unit buildings).
• San Diego County population projected at +20% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts since 2y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $1.99M cash investment doubles in ~9 years — after that, you're playing with house money.
• Cap rate 10.3% vs local median 2.0% in San Diego — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.
• At $82,616/mo this rent would consume 1420% of the median local household income ($70k/yr) (locally 1542% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• It's been on market 317 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.